Money and Markets’ newsletter editors sounded off on the most important topics of the week. Below are snippets from the editors and links to their services.
From Larry Edelson’s Power Portfolio …
“Safe haven plays were the name of the game for the week and bonds were in favor spurred on by emerging market concerns and reports from China showing a sharper contraction in manufacturing. Bonds have now gained for four consecutive weeks, the longest winning streak since April, pushing yields down to levels last seen at the end of October.
“Yields may move a bit lower given the stock market’s rout last week, but I reaffirm my work that yields have bottomed on a long-term basis and are headed much higher in the months and years ahead.”
From Charles Goyette’s Wealth and Liberty Alert
“Perhaps the biggest source of investor stress at the moment is emerging markets. Â … Â several emerging currencies have been plunging in recent weeks as investors worry about liquidity draining from these markets as the Fed mops-up QE.”
From Mike Larson’s Interest Rate Speculator
“At some point, if the emerging market crisis goes on for long enough and gets bad enough, it may do more than cause market tremors here. It could derail the global economic expansion that we’re seeing, one that’s been led by developed markets like ours. That would require a much bigger shift in investment strategies.”
From Bill Hall’s Weiss Family Million-Dollar Portfolio
” …earnings power is the ability of a company to generate superior operating and economic returns even in difficult environments. Not every company has real earnings power, only the best of the best, the cream of the crop. And best of all, a company’s stock price eventually reflects its earnings power.”
Best wishes,
The Money and Markets Team
